Samsung heir formally indicted over bribery charges

Lee Jae-yong, Samsung’s heir apparent has been charged officially by South Korea’s special prosecutor’s office on multiple charges including embezzlement and bribery.

This high-profile scandal has already led to the downfall of South Korea’s president, Park Geun-hye.

The special prosecutor's office in South Korea declared the multiple charges against Samsung heir Lee Jae-yong and four other company executives.

The accusations dropped at Samsung involves offering donations to non-profit organizations managed by President Park’s friend, Choi Soon-sil, in an exchange deal for government favours.

In December, during a parliamentary hearing, the firm admitted a donation worth 20.4bn won to two different foundations; however, reports of any kind of favours were denied by Samsung.

Moreover, Mr. Lee detailed that the company also provided a horse as well as money to support the equestrian career of Chung Yoo-ra, Ms. Choi's daughter.

The prosecutors accused Samsung chief of giving 41bn won ($36m; £29m) in the form of donations. The authority alleged this action was executed to gain government support for a major restructuring of Samsung which centered over a prominent merger deal.

Samsung is one of the largest & renowned electronics companies all across the globe. The current involvement of the company head in a corruption scandal has resulted in huge embarrassment.

Earlier in February, an arrest warrant was issued against Mr. Lee after which he was taken into custody. The firm reported it would do its best to confirm that the “truth is revealed in future court proceedings".

This political scandal has been disturbing the nation since several months now. The initialization of the event started with allegations smashed at President Park's links to Ms. Choi focused on influence-peddling, cult activities and revealing classified information.

Presently, Park is put on trial charges involving various offenses such as abuse of authority, attempted fraud and coercion.

Industry news analysis is not just an online news portal, it is the answer to every question you've asked ever! Here at INA, we cover everything, from the basic news, ups and downs of the market to regular economic updates; INA provides you with the best of business and industry analysis globally. more >>